Showing papers in "Society and Economy in 2016"

The impact of project manager on project success — The case of ICT sector

Abstract: The project management literature on project success is rich. Numerous papers focus on the evolution of the understanding of project success, identification of success criteria and critical success factors. Critical success factors increase the potential for achieving project success, while project success can be evaluated with the help of success criteria. Although the interrelationships between critical success factors and success criteria are rarely analyzed, yet there is a strong demand for it. The aim of this paper is twofold. One of the aims is to identify the impact of one of the critical success factors, the project manager’s project management attitude on project success. The other aim is to highlight the interrelationship between the project manager’s personal characteristics and project management attitude and leadership style, which are three critical success factors. These aim to address the shortcoming mentioned above, which is considering the lack of the interrelationships between critical ...

The relationships between foreign direct investment, domestic savings, domestic investment, and economic growth: The case of Sub-Saharan Africa

Abstract: Despite the large body of research on foreign direct investment, domestic savings, domestic investment and economic growth, little has been done to investigate the relationships among them This paper examines the relationships among foreign direct investment, domestic savings, domestic investment, and economic growth in 16 Sub-Saharan African (SSA) countries from 1981 to 2011, using various techniques The results of VAR estimation and Granger causality tests demonstrate that there is a unidirectional causality from foreign investment to growth and domestic investment, savings to growth, and a bidirectional causality between growth and domestic investment as well as savings and domestic investment The results of the variance decomposition analysis reveal that foreign investment exerts more influence on growth Savings are more important in explaining domestic investment, growth is more important in explaining foreign investment, and domestic investment is more important in explaining savings Based on t

Symbolic consumption in the case of brand communities

Abstract: The idea of symbolic consumption is based on the assumption that consumption is more than just functional problem solving: products and brands have significant meanings; therefore, they can be utilized as symbols in the cultural ecosystem. However, grasping the meaning of a specific brand can be confusing because it would presume knowledge about the brand as a symbol shared by the customers. We review the contradicting findings in the literature about the symbolic meaning of brands, and we initiate a new reference point in order to dissolve the above mentioned conflict. According to our understanding, the symbolic meaning of a brand shall be examined in the context of specific brand communities and not in general. We suggest that limiting the scope of research to brands with brand communities resolves several limitations of symbolic consumption studies focusing on general issues. Our theoretical model distinguishes the different types of brand communities based on their main cohesive force. In the model, ...

“Rentier states” or the relationship between regime stability and exercising power in post-Soviet Central Asia

Abstract: The paper intends to give an insight into the relations of the economic and political systems of the Central Asian republics using the theoretical framework of the “rentier economy” and “rentier state” approach. The main findings of the paper are that two (Kazakhstan and Turkmenistan) of the five states examined are commodity export dependent “full-scale” rentier states. The two political systems are of a stable neo-patrimonial regime character, while the Kyrgyz Republic and Tajikistan, poor in natural resources but dependent on external rents, may be described as “semi-rentier” states or “rentier economies”. They are politically more instable, but have an altogether authoritarian, oligarchical “clan-based” character. Uzbekistan with its closed economy, showing tendencies of economic autarchy, is also a potentially politically unstable clan-based regime. Thus, in the Central Asian context, the rentier state or rentier economy character affects the political stability of the actual regimes rather than havi...

Determinants of capital structure choice: Empirical evidence from Vietnamese listed companies

Abstract: This paper examines the impact of firm-specific and industry characteristics on capital structure during a sample period spanning from 2007 to 2013. We used panel regression with fixed effects and found strong evidence that capital structure is most affected by firm-specific factors such as tangibility, non-debt tax shields, liquidity, firm size, taxes paid, profitability, Tobin’s Q ratio, and growth assets. In addition, the empirical results indicate that firms operating in different industries have dissimilar capital structures.

The Integration of Social Media into Corporate Processes

Abstract: The primary aim of this paper is to give a comprehensive overview of social media marketing solutions which can be used by companies. Many authors and researchers dealing with specialised subjects examine certain areas of this topic — and, in particular, with the influence of the social media on marketing communication. An overview of current literature and practical solutions enabled us to create a framework usable in the corporate sphere for creating a social media marketing strategy and for measuring the efficiency of social media activity. The framework helps companies to identify which social media solutions are worth taking advantage of to support their business processes, how they are able to measure the effectiveness of social media and it also provides a basis for the identification of additional research directions.

Maturity in management accounting: Exploratory study in Portuguese SME

Abstract: The purpose of this paper is to characterize the level of maturity of management accounting in Portuguese industrial SMEs. Specifically, the study classifies firms using Kaplan’s Four-Stage model; and introduces a new model to classify them better. The research design is exploratory. The data were collected through interviews with those responsible for management accounting in 58 Portuguese industrial SMEs. The analysis used descriptive and inferential statistics and a cluster analysis was performed to classify firms according to their management accounting characteristics. The results showed that all the SMEs belong to stage 2 of Kaplan’s model and that it is possible to classify them in one of the four stages of the proposed new model. Moreover, the type of firm and the source of capital have no influence on the level of maturity, although larger firms tend to have greater maturity. The study offers evidence that there is a clear difference between management accounting knowledge and practices, which sh...

Key factors of foreign trade competitiveness: Comparison of the EU and BRICS by factor and cluster analysis1

Abstract: International competitiveness is influenced by globalization processes in the world economy. This process changes the comparative advantages of each country and thus the shares of individual countries in world trade. BRICS countries have quickly strengthened their influence in international trade, and thus the European Union must face new pressure in competitiveness from their side. The aim of this paper is to define key factors of foreign trade competitiveness by an application of factor analysis and identify countries with similar characteristics of competitiveness factors by an application of cluster analysis. Factor and cluster analysis contain indicators of foreign trade which describe the driving forces of competitiveness, also in terms of long-term potentiality, and those which are direct or indirect outcomes of a competitive society and economy. Based on the results of the factor analysis, it is possible to classify the evaluated territories according to the level of foreign trade advancement by c...

Is refined economic value added more associated with stock return than accounting measures? The Malaysian evidence

Abstract: The paper tests the hypothesis on whether refined economic value added (REVA) is highly associated with stock return compared to traditional performance measures. The goal of the study is to provide empirical evidence on the relative and incremental information content of REVA and traditional performance measures, such as net income (NI), net operational profit after tax (NOPAT), and earning per share (EPS). The study involves 395 non-financial companies listed in Bursa Malaysia over the period of 2002–2011. Pearson correlation coefficient and panel data single and multiple regression models were employed to analyze the data. The empirical results indicate that the relative information content of the REVA was not greater than that of NI and NOPAT to explain stock returns. NI and NOPAT were highly correlated with stock return compared to REVA. Additionally, the incremental information content test indicated that REVA makes some additional contribution to information content beyond the NI, NOPAT, and EPS. F...

Assessing calling as a predictor of entrepreneurial interest

Abstract: Entrepreneurship is widely accepted to be the engine of development. In the era of massive changes in the employment patterns and the emergence of self-employment, it is increasingly important to g...

Local government finances in Hungary: From the culprit of fiscal slippages to a source of stability?

Abstract: While in the decade prior to 2010 Hungarian local governments had been a notorious contributor to budgetary slippages and growing public indebtedness, the sector’s balance has subsequently turned to positive in the context of a wide-ranging centralisation effort and the corresponding revamp in subnational financing arrangements. The fiscal indicators therefore, prima facie, point to a transformation of a regular sinner into a source of stability. Based on a detailed account of the recent reform steps and the preliminary assessment of their first impacts, this study argues that it is too early to conclude that the observed positive developments are the structural results of the measures taken over the last five years. The enacted institutional streamlining, the new debt authorisation rule and the increased tapping of the local tax potential should all have a lasting positive impact on public finances. Nonetheless, the intended efficiency gains due to economies of scale in service provision are not yet appa...

How do leadership styles influence the creativity of employees

Abstract: The objective of organizational creativity is to identify those factors that could affect creativity. One of the most influential factors is the leadership style. Following the review of literatures, we investigated this phenomenon in the Hungarian labor market. We analyzed the answers of more than 600 Hungarian employees. We asked them to categorize their leader on the basis of which classic Lewin leadership style is most characteristic of him or her. After this, they needed to judge how the perceived leadership style would affect the two phases of their workplace creativity. Similarly to international results, democratic leadership style proved to be stimulating, while the authoritarian leadership style was inhibitory. It has also been proved that not only leadership style influences creativity, as the model of successful creative organization cannot be described with the behavior of the leader(s) only.

Islamism and gender relations in the Muslim world as reflected in recent World Values Survey data

Abstract: Ever since Goldin (1995) proposed the idea that there is a U-shaped female labor force participation rate function in economic development, empirical research is stunned by the question why the cou ...

The internationalization motives of SMEs from the Czech Republic in the context of EU accession

Abstract: Foreign competition in domestic markets is still strengthening and for small and medium-sized enterprises (SMEs) internationalization may be one way to deal with this growing rivalry. Pangarkar (2008) states that for SMEs the benefits of internationalization outweigh its disadvantages and that with the increasing degree of involvement in the internationalization process the performance of SMEs also improves. However, for SMEs from some sectors of our economy, involvement in internationalization is more complex than for large enterprises; moreover, they are often inclined to enter foreign markets due to different motives. The authors carried out several surveys among Czech SMEs during the last three years and found that SMEs from some sectors of the Czech economy mentioned the EU accession of the Czech Republic as their motive for internationalization. The aim of this paper is to find out whether EU membership represents the determining factor of the SMEs’ decision to get involved in internationalization, ...

Survival of new private enterprises in transition economies: The case of Vietnam

Abstract: This paper focuses on determinants of survival of new private firms in the manufacturing sector in a transition economy, Vietnam, during the period 2000–2007. A semi-parametric Cox proportional hazard model is applied with a comprehensive specification of firm-specific, industrial and macroeconomic factors. There is strong evidence in market selection that labour productivity is the most important internal factor supporting firm survival. Other evidence is that firms with higher profitability in terms of profit per employee will have higher survival probability. For private firms, in terms of start-up factors, although total assets increase the probability of survival, total sales decrease it. Besides, industries which have increasing numbers of employees open favourable opportunities for new private firms. Furthermore, the macroeconomic factor, GDP, significantly supports the development of private firms.

The effects of increased VAT rates applied in the EU member states in 2014

Abstract: The European Union countries tend to strongly prefer indirect taxes. This tendency results in the increase of the value added tax rate. In the economic reality, the legal burden of the consumption tax is distorted and it consequently leads to distribution and shift to other entities participating in market transactions. The aim of the paper is twofold. First, to determine the primary value of the relative distribution of the burden on the seller and the buyer. Second, to adjust it for those values which suggest that the increase in the tax burden may result in a reduction in sales prices. Furthermore, the paper aims to follow the conservative approach for determining the minimum values of the shift of the tax burden onto the consumer. The strict determination of the limits of burden distribution is presented within the limits of the actual tax burden. Finally, the partial shift of the increased tax burden onto consumers in the minimum amount of 1/3 is identified together with a significant negative correl...

Impact of R&D subsidies on enterprise performance in the Czech Republic1

Abstract: The attention and support that R&D receives from economists and politicians reflects its importance as a key element of competitiveness and growth in advanced economies But the real effect of policy upon public support depends on the technological level and structure of the economy and on the ability of beneficiaries to use the support effectively We should also ask whether the current measurement of R&D outcomes and their subsequent assessment actually reflects real-world situations The paper presents results of a research focused on the effectiveness of R&D subsidies on the performance of private enterprises in the Czech Republic We deliberately focus on financial data and compare beneficiaries with unsuccessful applicants using techniques of counterfactual analysis Although supported actors exhibit higher values of certain variables like assets, personnel expenditures or value added, these cannot be claimed to be the result of R&D support These findings suggest the very limited effectiveness of R

How to Transfer a Coupon-Based Event into a Hedonic Shopping Experience? Retail Branding Implications Based on the Glamour Shopping Days

Abstract: The paper examines the motivational drivers behind the participation of Hungarian consumers on a special shopping event, also known as Glamour Days. The study encompasses a variety of related conceptualizations such as hedonic/utilitarian shopping values, self-gifting as well as impulsive buying practices. After the introduction of relevant consumer behaviour concepts and theoretical frameworks, the paper presents a qualitative research on adult and adolescent female consumers’ shopping experiences during Glamour Days. By building on phenomenological methodology, this study also portrays the ways this shopping event has changed consumer society within an originally strongly utilitarian attitude driven Hungarian culture. The phenomenological interview results highlight differences within the motivational drivers of pleasure-oriented shopping for the two age groups. For teenagers, the main motivation was related to the utilitarian aspect due to their financial dependence and the special opportunity to stand...

How efficiently are the EU countries coping with the discrepancy between economic and environmental goals

Abstract: With growing evidence of natural resource depletion and environmental pollution, environmental issues became complementary to economic goals. Reduction of negative effects of human activities on the environment while enhancement of the use of alternative and renewable resources are now required together with satisfactory economic performance. The European Union made declarations to follow these goals in the Lisbon Strategy and consequently in the Strategy 2020. This paper examines to what extent these goals are fulfilled vis-a-vis EU member countries. Specifically, by performing Data Envelopment Analysis we provide an alternative way of assessing the ability of the individual EU countries to achieve these objectives. This ability is represented by relative efficiency scores of the EU members which reflect both economic and environmental goals. The paper finds that Denmark, Luxembourg, and Sweden are the most efficient countries, and also identifies the areas to be improved by the inefficient countries to ...

Examination of inequalities in Hungary by microsimulation in consistency with macro data

Abstract: Effective decision making uses various databases including both micro and macro level datasets. In many cases it is a big challenge to ensure the consistency of the two levels. Different types of problems can occur and several methods can be used to solve them. The paper concentrates on the input alignment of the households’ income for microsimulation, which means refers to improving the elements of a micro data survey (EU-SILC) by using macro data from administrative sources. We use a combined micro-macro model called ECONS-TAX for this improvement. We also produced model projections until 2015 which is important because the official EU-SILC micro database will only be available in Hungary in the summer of 2017. The paper presents our estimations about the dynamics of income elements and the changes in income inequalities. Results show that the aligned data provides a different level of income inequality, but does not affect the direction of change from year to year. However, when we analyzed policy chan...

Land policy and farm structure: Challenges and opportunities for agriculture in the Western Balkan

Abstract: Although Western Balkan countries are quite different, they can all be characterised by their one shared goal, to achieve the quickest possible accession to the European Union. Even though agriculture plays an important key role within all Western Balkan states, it’s share is the highest in Albania and only Serbia has a trade surplus. Land is a key production factor but all the analysed countries can be characterised by fragmented land structure and low average farm sizes. Mostly based on land ownership issues, a land reform index can be calculated. The major contribution of this paper to the literature is the reevaluated land reform index for the Western Balkans.

Testing sovereign contagion via changes of cds price in european debt crisis

Abstract: Much empirical research has been carried out to test the presence of contagion in European sovereign debt crisis since the beginning of 2010. In this paper I will consider contagion as a change in the transmission mechanism of shock, illustrating co-movement among the sovereign credit default swap (CDS) markets of seven European countries and the UK from November 2008 up until June 2013. By examining daily pricing data of the five-year sovereign CDS contracts of these countries, I found a large increase in the volatility in the period of crisis, and hence a correlation test is invalid, but parametric method with GARCH residual time series and quantile regression approach are applicable. The first test modelling time series’ residuals by GARCH formula shows no contagion. In the second method, slope equality tests analyse the stability in linear relationship among markets across quantile and find no evidence of contagion. This final result of no contagion during the debt crisis suggests that the reason of t...

Dynamic provisioning as an automatic stabilizer of the financial instability1

Abstract: The pro-cyclical effect of provision is generally agreed and widely discussed in the context of the current financial crisis The new model of the dynamic provisions applied in Spain showed countercyclical effects on the credit and business cycle We simulate development of the dynamic provisions during the financial crisis and discuss the possible consequences We apply a panel data model of the past credit cycle to calibrate the parameters following the same approach as in the Spanish dynamic provision Our contribution is in the application of dynamic provisions on the banking systems for the V4 countries

Talent-competitiveness of Hungary — Decline without “Fleurs du Mal”

Abstract: This paper offers some ammunition to better understand Hungary’s position in the IMD World Talent Report 2015 (IMD WTR 2015). First, it gives a brief overview of the methodology of the IMD WTR by highlighting its main features. Second, it presents the 2015 ranking and puts the focus on Hungary’s withering talent competitiveness. The paper conveys the message that an overarching and consistent reform package is a must in the education system to foster talent utilisation. However, such a package is likely to be insufficient unless economic policy addresses the relevant shortcomings of the Hungarian innovation ecosystem.

The Role of State in Varieties of Capitalism (SVOC) – Conference report

Abstract: World economy and politics underwent significant changes during the past three decades. The relatively stable times of the Great Moderation in world economy and bi-polar world politics are gone. The 2001 dotcom crisis and the 2007/8 financial crisis have signalled the start of a new era. Financialization of business, the emergence of mighty new competitors in the world economy and the devastating effects of the crises created big pressure on the institutions of the Western Hemisphere, the so called competition state (featured by the institutions of liberal market economy and political democracy). Many of the newly created (copied) institutions of the postcommunist countries were marred by the soft social institutional heritage leading to inadequate performance. At the same time many emerging market economies suffered from repeated currency crises and economic slowdown, while others realized tremendous success in the period relying on very peculiar hybrid institutional settings. The main questions of the 5th SVOC conference address the challenges of the traditional institutions of the competition state and the future of the emerging new institutional solutions.

Ethical certification in the Spanish agrifood industry: An alternative paradigm?

Abstract: The agrifood sector belongs to traditional industries often supported by the national governments The quality of the output is directly related to human health and, therefore, several initiatives within the EU have been introduced These initiatives support the consciousness of the broad public, including the individual agrifood businesses Besides the marketing standards, geographical indications and organic farming, there are also national and private certification schemes All these tendencies aim to promote the socio-ethical principles of the business to support the non-monetary issues related to the agrifood sector This paper provides a closer exploration of the socio-ethical aspects of companies in the Spanish agrifood sector Any awareness of these principles in the daily business routine can be considered as a potential competitive advantage for an individual company The objective of the paper is to examine whether there are significant differences among individual sub-industries within the Spa

Is the exchange rate a factor of bank liquidity changes? Study of the Czech Republic1

Abstract: The effect of the exchange rate is often discussed in connection with economic performance, net export and inflation rate Within the context of current discussions, we aim to examine the influence of the CZK/EUR exchange rate on changes in liquid assets in the Czech banking sector The scope of our examination also covers the effects of GDP, CPI, one-month PRIBOR rate and the effects of ten-year government bond yield The selected period is 2003–2014; monthly data taken from the CNB ARAD database is used To verify the effect of the monitored variables on liquid assets in the Czech banking sector, we employed the regression analysis methods applied on financial and economic time series The results show the effect of the CZK/EUR exchange rate and PRIBOR on changes in the liquid assets of Czech banks The paper analyzes the identified causes and connections, and discusses possible consequences